GST

8 Documents Required for GST Registration of Partnership Firm

By Shreya Durgan

If you are starting a partnership firm, it is crucial to take care of the legal necessities and the paperwork required to run it properly in India. Therefore, if your annual turnover is more than Rs.40 lacs annually (Rs.20 lacs annually for the north-eastern region of India), you will need GST Registration and must have the following documents required for GST registration of partnership firm.

List of Documents Required for GST Registration of Partnership Firm

Partnership Deed
Partnership Registration Certificate
PAN Cards of Partners and Partnership Firm
Photographs of Partners
Address Proof of all Partners and Partnership Firm
Aadhar Card of The Authorised Signatory
Signatory's proof of Appointment
Current Bank Account

1. Partnership Deed

Partnership registration is the easiest to form business structures with no complexities and is governed under The Partnership Act, 1932.

A minimum of 2 partners are mandatory for partnership registration.

Also, partnership registration is at the partner's discretion but is not compulsory.

However, a partnership firm cannot avail of legal benefits without registration.

Not only this, but a partnership deed also protects the partners from any future conflicts.

A partnership deed is made on a judicial stamp paper available at the respective state registrar office. Moreover, all the partners must agree to the terms and conditions in the partnership deed and sign it after the mutual agreement.

2. Partnership Registration Certificate

To apply for GST registration, you must have a Partnership Registration Certificate. In fact, it is one of the most important documents required for GST Registration of Partnership Firm.

Therefore, to avoid any rejection, make sure to register your firm with the mutual agreement on terms and conditions from all the partners.

3. PAN Cards of Partners and Partnership Firm

To apply for GST registration of a partnership firm, you must have PAN cards of all the registered partners and the firm.

Therefore, if any of the partners or the partnership firm do not have a PAN Card, apply for it.

It takes around 2 days to receive an e-PAN card. However, a physical card may take 5-7 business days to reach the registered address.

You can apply for a PAN Card by filling the FORM 49A by visiting the official NSDL website.

4. Photographs of Partners

Further, you must have passport size photographs of all the partners.

Also, it is advisable to have digital passport-size photos with you always as you may need them in several other forms.

In order to maintain the high quality of the picture, get a digital copy.

5. Address Proof of all Partners and Partnership Firm

All the partners should also submit their address proof. For example, a driving license, voter id card or any other valid government identity proof.

For the firm, you can submit any of the following documents as the address proof:

If the premise is rented,

Rent Agreement
Utility bill (electricity bill, water bill, property tax bill or gas receipt)
NOC (No-objection certificate from the owner)

If the premise is own,

Utility bill (with the name of the owner)
NOC (no-objection certificate from the owner/partner)

6. Aadhar Card of The Authorised Signatory

Aadhar Card is now the most important identity proof that is valid and mandatory to fill any form.

Therefore, the person who will be the authorised signatory in the firm must present his Aadhar card with updated and truthful information.

Also, e-aadhar or DSC can be used for digitally signing the GST registration application by the signatory.

7. Signatory's proof of Appointment

Most importantly, when you choose a partner to be the authorised signatory, you must get an official letter for the same as proof.

The letter of appointment has all the details of the partner who will act as the authorised signatory for the firm.

Also, it states that all the documents signed by the signatory related to the business will be binding the firm. Moreover, they will be the primary contact with the GST department on the firm's behalf.

Therefore, after the appointment, all the documents must be signed by the authorised signatory to be valid.

Here is the format of the letter:

Declaration of the authorised signatory

I/We _________ (details of signatories like partners/Directors/members) ________________, hereby solemnly affirm and declare Mr/Mrs/Miss ______________ (details of authorised signatory to be declared) _________ as the authorised signatory for the_______ (Company/Firm/Society ) ___________ .

All the actions of the authorised signatory will be binding to the (Company/Firm/Society). He/She shall henceforth, act as the authorised signatory for all GST purposes.

Name

Designation/Status

Signature

NOTE: More than one partner can also be an authorised signatory.

Acceptance format of the authorised signatory letter

I __________________ (name of signatory) _____________, hereby solemnly affirm and accept to be the authorised signatory of the ________________ (Company/Firm/Society)_____.

( )

Signatures of Authorised Signatory

8. Current Bank Account

The firm must have a separate current bank account to monitor and transact any business-related funds.

It prevents any fraud, conflict or legal disputes in the business.

With this in mind, the documents you need to apply for a current business bank account are:

Partnership Deed
PAN Card of the Partnership Firm
Address Proof of the Firm
Identity Proof of all the partners
Partnership Registration Certificate
Copy of Electricity Bill, Phone Bill, Water Bill or Gas Bill (not older than 2 months)
Authorisation Letter of the appointed Signatory on the firm's letterhead

Steps for GST registration of Partnership Firm

Having a GST registration helps the business that trades goods or services to avail themselves of the input tax credit benefits.

You can apply for GST Registration in two ways:

~By filling our easy form on the right>

~Self Registration: By following the step-by-step process.

Firstly, log in to the official website of Goods and Service Tax (GST)
Click on Services > Registration > New Registration.
Secondly, fill-up the form by providing the details such as state, name of the business, PAN, Email and Mobile Number. After that, click on proceed.
Next, click on proceed and allow the portal to verify the mobile number and email address by providing the OTP received on both.
After verifying the number and email, you will receive a TRN (Temporary Registration Number) number to keep the track of your application.
Further, upload all the documents required for GST registration of partnership firm as mentioned above.
Fill out the further details in Part B of the form.
After submitting the form, you will receive an ARN (Application Reference Number).

After applying, the GST officer will examine your application and check the documents.

The GST officer may accept or reject your application based on their examination.

The officer may also raise a query regarding clarification on documents if necessary.

Therefore, keep an eye on your application status and mails for updates and reverting for the same.

Once all the process completes, you will receive your GSTIN number and GST registration certificate.

Frequently Asked Questions

Is it mandatory to register a partnership?

According to the Partnership Act 1932, Partnership Registration is not mandatory, but it is advisable to register it for availing of the benefits.

What are the advantages a registered partnership firm receive?

Only a legally registered firm can file a lawsuit against any third party in any instance. However, the third party can file a case against the firm even if it is not registered.

Moreover, in case of any disputes, the unregistered partnership firm or partners cannot proclaim any set-off.

How much time does it take to register a partnership firm?

The complete partnership registration process could take up to 10 working days. However, the time taken to process the certificate varies from state to state as it is subject to state government regulations.

How much time does it take for GST registration of the partnership firm?

The application process is simple and can be completed in 20 -25 minutes with the correct and complete documents. However, it may take up to 15-20 days to receive the GST Certificate from authorities.

What is the cost of GST Registration of Partnership firm?

There is no government fee for GST Registration. But, your business service provider or agent may charge a reasonable service fee for applying on your behalf and handling the queries from the department.